We're not in dreamland anymore: The consequences of community opioid use on local industrial composition

2024/08/21 by W. Scott Langford, William S. Langford, Maryann P. Feldman · 1 citation
Medicine · #Opioid Use Disorder Treatment #Substance Abuse Treatment and Outcomes #HIV, Drug Use, Sexual Risk

paper · pdf · doi:10.1111/jors.12727

Abstract

Abstract We estimate the effect of opioid use rates on local economic resilience through changes in industrial composition. We find regional opioid use rates adversely affect firm growth in general, with the greatest impact on small firms. Our results are robust to several identification strategies (Difference in Differences, Propensity Score Matching, and Instrumental Variables) and alternative empirical specifications. Our findings establish that local industrial composition and long‐term resilience are each adversely affected by the opioid public health crisis.

Citations

• Instrumental Variables Regression with Weak Instruments
• Wage and Employment Growth in America's Drug Epidemic: Is All Growth Created Equal?

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• Supply-side opioid restrictions and the retail pharmacy market

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